In his Response to Syria-oil Question .. Allaw : serious offer to develop Banias Refinery .. new study by SINOPEC to establish pipeline from al-Rumaila to al-Hudaitha then to Banias with 1350 KM for 2 million Barrel a day Shipping

Oil Minister Sufian Allaw said that development of Banias refinery project, is a prepared project since 2000 and its studies have been prepared since 2004, aims to increase the white products (diesel and gasoline) at the expense of black fuel oil derivatives and others.

Allaw in response to a question for “Syria Oil” at a press conference held on the sidelines of the opening exhibition SYROIL 2010, said “the cost of the project at that time amounted to 640 million dollars, but with the price changes are 1.5 to 2 billion dollars,” noting that “There is a currently serious offer with the company to undertake studies to determine the feasibility.”

 
oil minister added that “there are two projects alfrqls and Homs refineries and a refinery in Deir al-Zour and economic studies on these projects is being prepared,” noting that “indicators are still without ambition and refinery projects in the world suffer from the problem of economic rent.”

 
General Organization for oil refining and distribution of petroleum products last February has been completed and the initial steps for a draft Alfrqls refinery in Homs, pointing out that there are challenges facing the project, notably securing the necessary funding to cover the share of the Syrian side of the project.

 
Syria, Iran, Venezuela and Malaysia signed a partnership agreement between them to establish alfrqls refinery in Syria in October 2007.

 
Minister of Oil said “we are following up this subject and hope to find solutions to find the rents while maintaining environmental conditions”, pointing out that “if we receive Iraqi oil through the Kirkuk-Banias line, it will help us create these refineries.”

 
Cooperation with Iraq

With regard to cooperation with Iraq , Allaw said that “there are several agreements with Iraq, but that the implementation of them is problematic.”

 
Allaw added that “Kirkuk Banias line carries about 300 thousand barrels per day, to be exported from Iraq or used locally in Syria,” noting that “Syria has always declared readiness of the line, but blocking is part of the modern Iraqi Kirkuk.” He stressed that all possible facilities had been provided by the Syrian side to start pumping.

 
Iraq was signed with Syria in August of 2007, an agreement to restart the pipeline from Iraq’s Kirkuk and Banias after rehabilitation operations in Iraqi lands and the construction of tanks on both sides of the border to exchange oil products between the two countries.

 
Allaw indicated to “the existence of a new study prepared by Chinese Sinopec Corp., to establish a line of al-Rumaila to al-Hudaitha and then to the Banias, a length of 1350 km to transport 2 million barrels a day, and welcomed to provide all necessary facilities, but subject to the Iraqis now.”

 
cooperation in the field of gas between the two countries, he said ” There is a signed agreement with the Iraqi side to extract 50 million cubic meters of gas per day from Akkas up to Deir al-Zour, and was supposed to be ready in 2008, and completed all necessary for the delivery of this line to Deir al-Zour , and welcomed the development of Akkas until it reaches its production to 500 cubic and we have factories in Deir al-Zour able to handle this quantity. ”

 
Syria Oil